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My portfolio as of Jul 31, 2020:
$LVGO – 36.5%
$CRWD – 14.0%
$DDOG – 11.3%
$ZM – 10.0%
$AYX – 9.8%
$ROKU – 5.2%
$GH – 3.7%
$API – 2.5%
$FSLY – 2.1%
Chainlink – 1.2%
$WORK – 0.6%
Cash – 3.1%
Performance: +167.7% YTD
$LVGO – 36.5%
$CRWD – 14.0%
$DDOG – 11.3%
$ZM – 10.0%
$AYX – 9.8%
$ROKU – 5.2%
$GH – 3.7%
$API – 2.5%
$FSLY – 2.1%
Chainlink – 1.2%
$WORK – 0.6%
Cash – 3.1%
Performance: +167.7% YTD
Initiated: WORK, API, FSLY
Added: DDOG, ROKU, GH
It was a relatively quiet month for my portfolio as I mostly left my core positions untouched.
While I don’t believe we’re in a bubble, many of my stocks are extended and vulnerable to ST pullbacks like the one we saw mid-July.
Added: DDOG, ROKU, GH
It was a relatively quiet month for my portfolio as I mostly left my core positions untouched.
While I don’t believe we’re in a bubble, many of my stocks are extended and vulnerable to ST pullbacks like the one we saw mid-July.
2) I am a fan of concentration and letting my winners run as a few stocks drive the vast majority of LT returns.
I only trim if I feel the valuation is unreasonable and I don’t have high conviction. Currently, I am happy with my allocations as they reflect my confidence levels.
I only trim if I feel the valuation is unreasonable and I don’t have high conviction. Currently, I am happy with my allocations as they reflect my confidence levels.
3) During the short but violent pullback mid-month, I added to $DDOG as it was my second highest confidence stock, but only my fourth largest position.
I also took a starter in $DT, which is another observability play but sold it after earnings as the growth just wasn’t there.
I also took a starter in $DT, which is another observability play but sold it after earnings as the growth just wasn’t there.
4) I also got back in $FSLY at the same time. I am still cautious about the long-term outlook for the reasons mentioned in last month’s summary ( https://twitter.com/richard_chu97/status/1278120494735200259?s=20), but I don’t doubt that in the near-term, esp after seeing the surge in e-commerce, earnings should be great
5) I added to $ROKU as well and now have a sizable position.
I am confident as ever in the long-term outlook and thought they were relatively undervalued at the time. As more ad dollars are directed towards CTV, Roku’s market-leading position will capture significant growth
I am confident as ever in the long-term outlook and thought they were relatively undervalued at the time. As more ad dollars are directed towards CTV, Roku’s market-leading position will capture significant growth
6) I added to $GH, which seemed like a reasonably valued, under-the-radar hyper-growth opportunity with incredible potential and material near-term catalysts.
While COVID will adversely impact testing volumes in the near term, I still believe GH should be a long-term beneficiary
While COVID will adversely impact testing volumes in the near term, I still believe GH should be a long-term beneficiary
7) Commentary on $EXAS’ CC supports this view:
“COVID-19 will accelerate adoption of Cologuard by 1-2 years. Patients and physicians are also looking for smarter, faster answers to guide their cancer treatment decisions, elevating the importance of our precision oncology tests”
“COVID-19 will accelerate adoption of Cologuard by 1-2 years. Patients and physicians are also looking for smarter, faster answers to guide their cancer treatment decisions, elevating the importance of our precision oncology tests”
8) I started a position in $WORK for reasons I explained in this thread: https://twitter.com/richard_chu97/status/1284913697476018176
I think the thesis will take time to play out and Teams will continue to be a drag on stock performance so I will keep my position small and might sell if I see a better opportunity
I think the thesis will take time to play out and Teams will continue to be a drag on stock performance so I will keep my position small and might sell if I see a better opportunity
9) Finally, I started, and added to, a small position in the new IPO http://Agora.io $API. Essentially, it’s like a Chinese Twilio with a focus on mobile and video, powered by a global network of 200 co-located data centers (SD-RTN) and recognizable customers like $EDU
10) They have excellent financials: ARR grew 167.9% vs 65% last year in the same period (from COVID), gross margins are steady ~69%, customers grew 73% YoY from 678 to 1176, DBNER is 131% and profitability/cash flows are lumpy but headed in the right direction. From @publiccomps:
11) It’s an ADR but also has a US HQ and were founded by Tony Zhao who was a founding engineer at WebEx. A big competitive advantage comes from their purpose-built architecture and SD-RTN network to optimize video quality.
Check out @jaminball’s article: https://cloudedjudgement.substack.com/p/agora-benchmarking-the-f1-data
Check out @jaminball’s article: https://cloudedjudgement.substack.com/p/agora-benchmarking-the-f1-data
12) Lastly, in case you missed it, I started a Substack! Check out my first post here which explains my backstory: https://richardchu97.substack.com/ .
In the future, I will occasionally post deep dives there. I am working on one for $API but want to see their first earnings report.
In the future, I will occasionally post deep dives there. I am working on one for $API but want to see their first earnings report.
